BILL NUMBER: SB 93 AMENDED
BILL TEXT
AMENDED IN SENATE MARCH 10, 2009
INTRODUCED BY Senator Kehoe
JANUARY 22, 2009
An act to amend Section 33445 of the Health and Safety Code,
relating to redevelopment.
LEGISLATIVE COUNSEL'S DIGEST
SB 93, as amended, Kehoe. Redevelopment: payment for land or
buildings.
The Community Redevelopment Law requires a redevelopment agency to
make specified findings if the agency pays all or a part of the
value of the land for , and the cost of the installation
and construction of , any building, facility, structure,
or other improvement that is publicly owned either within or without
the project area. These determinations by the agency and the local
legislative body are final and conclusive. An agency is authorized to
enter into a contract with the community or other public corporation
when the value of the land or the cost of the installation and
construction of the building, facility, structure, or other
improvement, or both, has been, or will be, paid or provided for
initially by the community or other public corporation, and the
agency agrees to reimburse, the community or other public
corporation. An agency may contract with the community when the land
has been or will be acquired by, or the cost of the installation and
construction of the building, facility, structure, or other
improvement has been paid by, a parking authority, joint powers
entity, or other public corporation to provide a building, facility,
structure, or other improvement that has been or will be leased to
the community.
This bill would require a redevelopment agency to make specified
findings, based on substantial evidence in the record, if the agency
pays all or a part of the value of the land for , and the
cost of the installation and construction of , any
building, facility, structure, or other improvement that is publicly
owned either within or without the project area. These findings would
not be final and conclusive. An agency would no longer be authorized
to enter into a contract with a public corporation other than the
community for the value of the land or the cost of the installation
and construction of the building, facility, structure, or other
improvement, or both. The bill would provide that an agency may
contract with the community prior to January 1, 2009
2010 , when the land has been or will be
acquired by, or the cost of the installation and construction of the
building, facility, structure, or other improvement has been paid by,
a parking authority, joint powers entity, or other public
corporation to provide a building, facility, structure, or other
improvement that has been or will be leased to the community.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 33445 of the Health and Safety Code is amended
to read:
33445. (a) Notwithstanding Section 33440, an agency may, with the
consent of the legislative body, pay all or a part of the value of
the land for and the cost of the installation and construction of any
building, facility, structure, or other improvement that is publicly
owned either within or without the project area, if the legislative
body finds, based on substantial evidence in the record, all of the
following:
(1) Significant blight remains within the project area.
(2) The blight cannot be eliminated without the acquisition of the
land or the installation and construction of the building, facility,
structure, or other improvement that is publicly owned.
(3) That no other reasonable means of financing the buildings,
facilities, structures, or other improvements, are available to the
community, including, but not limited to, general obligation bonds,
revenue bonds, special assessment bonds, and bonds issued pursuant to
the Mello-Roos Community Facilities Act of 1982 (Chapter 2.5
(commencing with Section 53311) of Part 1 of Division 2 of Title 5 of
the Government Code).
(4) That the payment of funds for the acquisition of land or the
cost of buildings, facilities, structures, or other improvements that
are publicly owned is consistent with the implementation plan
adopted pursuant to Section 33490.
(b) The acquisition of land and the installation or construction
of each building, facility, structure, or improvement that is
publicly owned shall be provided for in the redevelopment plan.
(c) An agency shall not pay for the normal maintenance or
operations of buildings, facilities, structures, or other
improvements that are publicly owned. Normal maintenance or
operations do not include the construction, expansion, addition to,
or reconstruction of, buildings, facilities, structures, or other
improvements that are publicly owned otherwise undertaken pursuant to
this section.
(d) (1) When the value of the land or the cost of the installation
and construction of the building, facility, structure, or other
improvement, or both, has been, or will be, paid or provided for
initially by the community, the agency may enter into a contract with
the community to reimburse the community for all or part of the
value of the land or all or part of the cost of the building,
facility, structure, or other improvement, or both, by periodic
payments over a period of years.
(2) The obligation of the agency under the contract shall
constitute an indebtedness of the agency for the purpose of carrying
out the redevelopment project for the project area, and the
indebtedness may be made payable out of taxes levied in the project
area and allocated to the agency under subdivision (b) of Section
33670 or out of any other available funds.
(e) Prior to January 1, 2009 2010 ,
in a case where the land has been or will be acquired by, or the cost
of the installation and construction of the building, facility,
structure, or other improvement has been paid by, a parking
authority, joint powers entity, or other public corporation to
provide a building, facility, structure, or other improvement that
has been or will be leased to the community, the contract may be made
with, and the reimbursement may be made payable to, the community.
(f) With respect to the financing, acquisition, or construction of
a transportation, collection, and distribution system and related
peripheral parking facilities, in a county with a population of
4,000,000 persons or more, the agency shall, in order to exercise the
powers granted by this section, enter into an agreement with the
rapid transit district that includes the county, or a portion
thereof, in which agreement the rapid transit district shall be given
all of the following responsibilities:
(1) To participate with the other parties to the agreement to
design, determine the location and extent of the necessary
rights-of-way for, and construct, the transportation, collection, and
distribution systems and related peripheral parking structures and
facilities.
(2) To operate and maintain the transportation, collection, and
distribution systems and related peripheral parking structures and
facilities in accordance with the rapid transit district's
outstanding agreements and the agreement required by this paragraph.
(g) (1) Notwithstanding any other authority granted in this
section, an agency shall not pay for, either directly or indirectly,
with tax increment funds the construction, including land
acquisition, related site clearance, and design costs, or
rehabilitation of a building that is, or that will be used as, a city
hall or county administration building.
(2) This subdivision shall not preclude an agency from making
payments to construct, rehabilitate, or replace a city hall if an
agency does any of the following:
(A) Allocates tax increment funds for this purpose during the
1988-89 fiscal year and each fiscal year thereafter in order to
comply with federal and state seismic safety and accessibility
standards.
(B) Uses tax increment funds for the purpose of rehabilitating or
replacing a city hall that was seriously damaged during an earthquake
that was declared by the President of the United States to be a
natural disaster.
(C) Uses the proceeds of bonds, notes, certificates of
participation, or other indebtedness that was issued prior to January
1, 1994, for the purpose of constructing or rehabilitating a city
hall, as evidenced by documents approved at the time of the issuance
of the indebtedness.